Agtech start-ups dropped 25 percent in value, deal count
That's according to data compiled by Pitchbook.
One of the last articles in Agriculture Dive, an online newsletter that ceased publication at the beginning of February, reported that venture capital investment in agtech start-ups dropped off precipitously in 2024 as a broader downturn in the agricultural sector led to a retrenchment among investors, according to a new Pitchbook report.
Agtech deal values fell 25.6 percent over the previous year while deal counts decreased 24.3 percent, Pitchbook said. Despite the decline in activity, the median deal value reached a record high of $3.6 million in 2024 driven by increased focus on late stage start-ups. Also, while agtech investment remained depressed throughout 2024, dealmaking picked up significantly in the last quarter of the year. Deal activity grew to $1.8 billion across 149 deals, an 8.9 percent increase from the third quarter.
Despite the difficult year, Pitchbook expects a rebound in the agtech market once the economy recovers and interest rates are cut.
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